Case Study 1: Reengineering a Manufacturing Process at General Electric

Background: General Electric (GE) is a multinational conglomerate known for its wide range of
products and services, including aircraft engines, power generation, and financial services. In the
early 1990s, GE faced significant challenges in its manufacturing process, including
inefficiencies, high costs, and slow production cycles.

Problem: The traditional manufacturing process at GE was fragmented and inefficient. The
company used a batch production approach, which led to long lead times, excessive inventory,
and frequent delays. There was a clear need to streamline operations and reduce waste to remain
competitive in the global market.

BPE Approach:

1. Process Mapping and Analysis: GE conducted a thorough analysis of its existing

manufacturing processes using process mapping techniques. This helped identify
bottlenecks, redundancies, and non-value-added activities.
2. Lean Manufacturing Principles: GE adopted lean manufacturing principles, which
focus on eliminating waste and improving flow. Techniques such as Just-In-Time (JIT)
inventory, Kanban systems, and continuous improvement (Kaizen) were implemented.
3. Cross-Functional Teams: The company formed cross-functional teams to facilitate
communication and collaboration across different departments. This helped ensure that
changes were aligned with overall business goals.
4. Technology Integration: Advanced manufacturing technologies, including computer-
aided design (CAD) and computer-aided manufacturing (CAM), were integrated to
enhance precision and efficiency.
5. Employee Training and Empowerment: GE invested in training programs to equip
employees with the skills needed for the new processes. Empowering employees to take
ownership of continuous improvement was a key component.

Results:

 Reduced Lead Times: The implementation of lean manufacturing significantly reduced

lead times, allowing GE to respond more quickly to customer demands.
 Cost Savings: By eliminating waste and optimizing processes, GE achieved substantial
cost savings.
 Improved Quality: The focus on continuous improvement and precision manufacturing
led to higher quality products and fewer defects.
 Increased Competitiveness: The reengineered processes positioned GE as a more agile
and competitive player in the global market.

Conclusion: This case study demonstrates the power of Business Process Engineering in
transforming a traditional manufacturing process. By adopting lean principles and leveraging
technology, GE was able to streamline operations, reduce costs, and improve overall
performance.
Case Study 2: Transforming Customer Service at a Telecommunications
Company

Background: TelecomCo (a hypothetical name for a real telecommunications company) was

experiencing significant customer service challenges. Long wait times, unresolved issues, and
customer dissatisfaction were prevalent, leading to a high churn rate.

Problem: The customer service process at TelecomCo was disjointed, with multiple touchpoints
and a lack of coordination. Customers often had to navigate through a maze of departments,
leading to frustration and dissatisfaction. The company recognized the need for a comprehensive
overhaul to improve the customer experience.

BPE Approach:

1. Customer Journey Mapping: TelecomCo began by mapping the entire customer

journey to identify pain points and areas for improvement. This helped understand the
customer's perspective and the root causes of dissatisfaction.
2. Streamlining Processes: The company reengineered its customer service processes to
create a more seamless and efficient experience. This involved consolidating touchpoints,
reducing handoffs, and simplifying procedures.
3. Implementing CRM Systems: A Customer Relationship Management (CRM) system
was implemented to provide a unified view of customer interactions. This allowed for
better tracking, resolution, and personalization of customer issues.
4. Automation and Self-Service: TelecomCo introduced automated solutions and self-
service options, such as chatbots and online portals, to handle routine inquiries and
reduce the burden on customer service agents.
5. Training and Development: Customer service representatives received extensive
training to improve their problem-solving skills and customer interaction techniques.
Emphasis was placed on empathy and effective communication.

Results:

 Reduced Wait Times: The reengineered processes and automation significantly reduced
customer wait times, leading to quicker issue resolution.
 Higher Customer Satisfaction: Improved processes and better-trained staff resulted in
higher levels of customer satisfaction and loyalty.
 Decreased Churn Rate: Enhanced customer experience contributed to a lower churn
rate, with more customers choosing to stay with TelecomCo.
 Operational Efficiency: The implementation of CRM systems and automation led to
more efficient operations, freeing up resources to focus on complex issues.

Conclusion: This case study highlights how Business Process Engineering can be used to
transform customer service operations. By focusing on the customer journey, streamlining
processes, and leveraging technology, TelecomCo was able to enhance customer satisfaction,
improve efficiency, and reduce churn.